chapter  4
The persistence of regional entrepreneurship: Are all types of self-employment equally important?
Pages 20

A number of studies have found that the regional level of new business formation tends to be rather constant over time (e.g. Andersson & Koster

2011; Fotopoulos, 2014; Fritsch & Mueller, 2007; Fritsch & Wyrwich, 2014). One straightforward explanation for this pattern could be that regional determinants of new business formation are only changing slightly over time. Indeed, regional characteristics that are positively related to entrepreneurship, such as the qualification of the regional workforce or the employment share in small and young firms (e.g. Fritsch & Falck, 2007; Sutaria & Hicks 2004; Wagner, 2004), tend to be relatively stable over time periods of 10 to 20 years (Fotopoulos, 2014). Another explanation for the pronounced persistence of regional entrepreneurship may be found in different regional cultures (e.g. Andersson & Koster, 2011; Fritsch & Wyrwich, 2014). Entrepreneurial culture may be particularly relevant for explaining persistence of regional patterns in the case of Germany where a considerable number of economic and political shocks took place over the course of the twentieth century (Fritsch & Wyrwich, 2014).